ESSAYS ON THE ECONOMICS OF ENVIRONMENTAL MANAGEMENT AND GREEN REPUTATION

Abstract

Many governments, firms, institutions and individuals have become increasingly cognizant of their impact on the environment, most notably with respect to global climate change. This coupled with a threat of future regulation and a desire for a ‘green’ image, among other reasons, has led firms and institutions to begin critically evaluating and managing their own “carbon footprint”. Effective programs to manage greenhouse gas emissions (GHG) benefit from understanding the preferences of the constituents the program intends to serve. This study uses a survey at Michigan State University to examine the preferences of constituents (students, faculty and staff) for attributes of alternative greenhouse gas (GHG) reduction strategies. The first essay examines how much respondents were willing to pay for GHG reduction program attributes and the welfare implications of several alternative policies. The second essay examines how the attributes of alternative GHG management plans influence the university’s ‘green’ reputation.